Bank less divided about September interest rates

17 September 2008

MPC voted 8-1 to maintain rates at 5.0%

The Monetary Policy Committee (MPC) voted 8-1 to maintain UK interest rates at 5.0% for September in their meeting held at the beginning of this month.

The minutes from the two-day meeting, which were released today, showed that only David Blanchflower voted against keeping rates at 5.0% and instead voted for a 0.5% drop.

In July and August Mr Blanchflower also voted for a decrease by on both occasions voted for just a 0.25% decrease.

MPC member Tim Besley this month decided that interest rates should be left at 5.0% despite voting for an increase in July and August.

The MPC considered increasing and decreasing interest rates before finally deciding to keep rates at 5.0%.